In the study, twelve patients with active moderate-to-severe Crohn’s
Disease who were unresponsive to at least one prior therapy were given
two infusions of PDA-001 one week apart. The first six patients received
two infusions of 2x108 cells (Low Dose) and the next six
received two infusions of 8x108 cells (High Dose).

The study met its primary endpoint of safety and demonstrated
encouraging clinical benefit including clinical remission. Based on
these results, the company has decided to further evaluate the clinical
potential of PDA-001 in multiple Phase II studies across a number of
disease states.

“The results of this study are an important first step in our
understanding of the role PDA-001 may play in serious and debilitating
diseases,” said Robert Hariri, M.D., Ph.D., CEO of CCT. “We are
encouraged that in these patients with Crohn’s disease, our unique,
placenta-derived therapies show signs of clinical benefit. We will
continue to aggressively pursue the clinical development of this and
other cellular therapies derived from what we see as one of the richest
sources of uniquely functional and versatile cells.”

About Crohn’s Disease

Crohn’s disease, a chronic inflammatory condition of the
gastrointestinal tract, impacts almost one million people in the United
States alone. Traditional treatment for Crohn’s disease has focused on
non-specific anti-inflammatory or immunosuppressive agents. A
considerable proportion of patients develop clinically significant
side-effects, require surgery or become unresponsive to therapy.

About Celgene Cellular Therapeutics

Celgene Cellular Therapeutics (CCT), a wholly-owned subsidiary of
Celgene Corporation, discovers and develops therapeutics from cells
derived from the human placenta as well as from the umbilical cord. CCT
is a state-of-the-art research and development organization dedicated to
fulfilling the promise of cellular therapeutics by developing
cutting-edge products and therapies that will significantly benefit
patients. The goal of CCT is to develop proprietary cell therapy
products for the treatment of unmet medical needs. Cellular therapies
offer the potential to provide disease-modifying or even curative
outcomes for serious diseases, which today lack adequate therapy.

CCT owns an array of proprietary technologies directed to novel
placental cell types and cell populations, as well as methods for
collecting, processing and storing many types of stem cells from the
placenta. In a recent Nature magazine article, Celgene Cellular
Therapeutics was shown to have two of the top 10 “most important patents
identified as brokering knowledge in stem cell research”. PDA-001 is the
first product to be developed as a result of this expanding portfolio.

About Placenta-Derived Cells

PDA-001 is a proprietary stem cell population derived from normal,
full-term human placental tissue. It may have broad therapeutic
potential in multiple therapeutic areas and is scalable to a traditional
pharmaceutical level.

PDA-001 is a culture-expanded plastic adherent, undifferentiated in
vitro cell population that expresses the nominal phenotype CD34-, CD10+,
CD105+ and CD200+. PDA-001 cells constitutively express moderate levels
of HLA Class I and undetectable levels of HLA Class II, and they do not
express the co-stimulatory molecules CD80 and CD86. PDA-001 is
genetically stable, displaying a normal diploid chromosome count, normal
karyotype and exhibit normal senescence after prolonged in vitro culture.

This release contains certain forward-looking statements which
involve known and unknown risks, delays, uncertainties and other factors
not under the Company's control. The Company's actual results,
performance, or achievements could be materially different from those
projected by these forward-looking statements. The factors that could
cause actual results, performance, or achievements to differ from the
forward-looking statements are discussed in the Company's filings with
the Securities and Exchange Commission, such as the Company's Form 10-K,
10-Q and 8-K reports. Given these risks and uncertainties, you are
cautioned not to place undue reliance on the forward-looking statements.